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BobaFett Posts: > 500

Sony needed /// to make acceptable fones. This message was posted from a T630
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Posted: 2004-09-12 21:55:00
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scotsboyuk Posts: > 500

I think Ericsson needed Sony more than Sony needed Ericsson, but certainly both came to a point where they could no longer think baout producing mobile phones as independent companies.
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Posted: 2004-09-12 22:07:38
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701 Posts: > 500

@scots:those were not my opinions but facts. And about brand recognision,u r dreaming. Sony alone was nobody in the mobile business having 0.2% along with Panasonic. By buying /// they admitted failure to impose their name in a world of sharks. $ is all that matters. Ericsson on the other hand is the recognized name everywhere, the innovator and the best in producing mobile tech(no1 in gsm networks4example). So it's the other way around than what u said. Reffer to some materials over the net pal!Since 2000. This message was posted from a T610
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Posted: 2004-09-12 22:13:13
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scotsboyuk Posts: > 500

@701

You seem to have misunderstood my point, so I shall set it out again. You stated that Sony phones were ugly, that is not 'fact', that is an opinion. No one person can judge what beauty is, what is ugly to you may be beautiful to someone else. I have already stated that I think the Sony mobile phones were, in fact, very appealling aestheticly.
My point about brand recognition was correct, Sony was and is a much more recognisable company than Ericsson. I was not just referring to Sony's mobile phone division, but to the company as a whole. People tend to look at Sony products as being of a good quality and worth buying. The fact that Sony had a very small share of the mobile phone market probably has more to do with the fact that they were not long time producers of mobile phones for the global market; other companies such as Motorola, Nokia, Ericsson, etc had been producing mobile phones for longer than Sony and therefore one would expect them to have larger market share.
Your point about Ericsson being the recognised leader in the mobile technology field seems somewhat spurious since Ericsson were on the verge of bankruptcy; they were obviously not that good or else they wouldn't have needed to merge with Sony.
Sony were doing poorly in the mobile market and therefore cast around for a suitable partner; they decided upon Ericsson. Both companies appear to be doing well out of this arrangement.

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Posted: 2004-09-12 22:33:18
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Vlammetje Posts: > 500

I have to agree with scotsboy here.

As much as Ericsson may have been an 'established brand' within a rather limited group of elitists... as a 'major brand in the mobile market' I am afraid it was a failure. I am sure my country is not the only one where Ericsson phones hardly got the light of day... advertising and marketing wise. It was Nokia Nokia Nokia everywhere you looked. I personally know NOBODY who owned an Ericsson phone in real life.

It is quite possible that Ericsson was popular at some parts of this planet... but NOWHERE near as big as Sony was and is.

And THAT, my friends, is why Ericsson needed Sony. Recognition and money. Lots of money.

Sony on the other hand obviously needed Ericssons R&D branch.
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Posted: 2004-09-12 22:38:50
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themarques Posts: > 500

Sony Ericsson reports profit and continued growth in the fourth quarter


19 January 2004

Tokyo and Stockholm, January 19 -- Sony and Ericsson today announced the consolidated financial summary for the fourth quarter, ended December 31, 2003 of Sony Ericsson Mobile Communications AB (Sony Ericsson), the 50:50 joint venture of Sony and Ericsson. The company reported continued growth in sales and shipments in the fourth quarter. During the quarter the company started shipping a variety of new products to further enhance and diversify its product portfolio in the GSM and Japanese markets.

Units shipped in the quarter reached 8.0 million, which is 13% higher than the same period last year. Sales for the quarter were Euro 1,437 million, representing year-on-year increase of 16%. Income before taxes was Euro 46 million which includes restructuring charges of Euro 9 million, relating to the final phase of previously announced restructuring of the American CDMA business and the GSM development unit in Munich, Germany. Net income was Euro 43 million, which represents year-on-year improvements of Euro 112 million. This reflects the continued success of the T610 series, successful introduction of new products in Japan, and the launch of both high-end and entry-level phones for GSM markets.

In 2003, units shipped reached 27.2 million, which is 19% higher than previous year. Sales for the year were Euro 4,673 million, representing an increase of 12% compared to 2002. Income before taxes was Euro -130 million which includes restructuring charges of Euro 63 million. The strategic focus areas of GSM and Japanese standards posted a 50% and 15% year-on-year growth in shipments respectively.

“We are pleased to announce another quarter of profit and a strong second half of the year. Following restructuring in the first half of the year, we have established a more solid operational platform. 2003 has seen Sony Ericsson further establish itself as an innovative and exciting new brand. We are optimistic that we can build on the success of the second half of 2003 with exciting new products like the P900, T630, T230 and our first two clamshell phones, the Z600 and Z200, as well as innovative products for the Japanese market.” says Katsumi Ihara, President of Sony Ericsson.


 
Q4 2002
Q3 2003
Q4 2003
2002
2003

Numbers of units shipped (million)
7,1
7,1
8
22,9
27,2

Sales (EURO m.)
1235
1305
1437
4176
4673

Income before taxes (EURO m.)
-77
39
46
-291
-130

Net income (EURO m.)
-69
62
43
-241
-86

Sony Ericsson Mobile Communications AB offers mobile communications products for people who appreciate the possibilities of powerful technology. Established in 2001 by Telefonaktiebolaget LM Ericsson and Sony Corporation, the joint venture continues to build on the success of its two innovative parent companies. Sony Ericsson creates value for its operator customers by bringing new ways of using multimedia communications while mobile. The company’s management is based in London, and has 4,000 employees across the globe working on research, development, design, sales, marketing, distribution and support.


So I hope this helps all the sceptics especially Nokia sceptics....

[ This Message was edited by: themarques on 2004-09-12 21:48 ]
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Posted: 2004-09-12 22:47:04
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bart Posts: > 500

ericsson almost went bankrupt because they where doing to much R&D most of you only know 10% of what ericsson was doing behind the screens. even i know only 50%. the invested alot of money in projects that were to advanced for that time. ericsson believed in a fully mobile controle envirement. but the demand for many high tech stuff stayed away. also the mobile phone market droped significantly.
i can only hope that /// will restart there home products line and a few of there other lines. they world could've been where we'll be in 10years.
and there would've been a Pxxx phone. ericsson had alot of prototypes ready. there communicator would've hit the market first. folowed by there P800 and the P200 (the planes for the phone date back to the year 2002). and then there's also the RX1 a phone that should've been on the market this year, and i'm sure it would've been a smash hit. but i gues we'll never know for sure.
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Posted: 2004-09-12 22:55:18
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Jake Blues Posts: > 500

my opinion is that if the partnership did not happen, neither sony or /// would be making phones today.
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Posted: 2004-09-12 23:01:00
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scotsboyuk Posts: > 500

Quote:
On 2004-09-12 22:55:18, bart wrote:
ericsson almost went bankrupt because they where doing to much R&D most of you only know 10% of what ericsson was doing behind the screens. even i know only 50%.


Did you work for Ericsson?
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Posted: 2004-09-12 23:02:54
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Vlammetje Posts: > 500

without the necessary funding to place a product in the market a company gets NOWHERE.

all the waht ifs in the world won't resolve the simple fact that ericsson could NOT make it financially. Period.


And has a fair chance of ACTUALLY making it.

No use going back to the past. if Ericsson didn't get the help it so desperately needed they would have been finishd years ago. They only reason they got the T68 out is because they were in the last stages of negotiatiiong with Sony to begin with.

face it people: there is no ericsson anymore. there is SONY Ericsson now
At least for phones there is.
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Posted: 2004-09-12 23:03:50
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